In Baker v. Save Mart, plaintiffs represented by Lieff Cabraser, Bolt Keenley Kim, and Matern Law Group filed a class action lawsuit alleging that Save Mart unlawfully terminated promised lifetime retiree medical benefits, violating ERISA. Initially filed in August 2022, the suit claims Save Mart misled non-union employees by promising lifetime health benefits to eligible retirees, only to abruptly cancel them in April 2022 after acquisition by a private equity firm. Hundreds of retirees who dedicated decades to the company lost their benefits.
Significant case developments include the denial of Save Mart’s motion to dismiss (April 2023), court approval of plaintiffs’ amended claims and expanded class definition (February 2024), and plaintiffs filing for class certification (July 2024), supported by declarations from over fifty retirees. Although a class certification hearing was scheduled for January 2025, it was canceled after parties reached a preliminary settlement agreement. On April 7, 2025, the parties finalized their settlement. Plaintiffs are expected to submit a motion for preliminary court approval within two weeks, after which settlement details will be publicly available.
The lawsuit highlights Save Mart’s alleged breach of trust toward long-term employees who relied on the company’s assurance of lifelong retiree medical coverage. Retirees affected are encouraged to stay informed as the settlement moves toward final court approval.